A senior official in the Paris-based Organisation of Economic Cooperation and Development (OECD) Dr Peter Jarrett said the Israeli economy is growing at a steady pace, however, not everyone is benefiting from this growth.
Speaking to The Marker newspaper yesterday, Jarrett said the economic situation in Israel could deteriorate due to the enormous economic gaps and discrimination especially against Arabs and Ultra-Orthodox Jews which could force Israel to become an authoritarian state.
The OECD published a report three months ago citing a series of failures that Israel is expected to face due to high poverty, lack of social cohesion, failing education, poor infrastructure, lack of competition and low productivity.
“Israeli society is suffering from deep divisions that threaten its long-term good financial results,” Jarrett warned, adding that Israel is facing serious inequality in wages and high poverty rates.
“In the long run it will not be beneficial if they do not invest heavily in education and implement reforms that allow these segments to acquire the appropriate qualifications to enter the labour market,” he said of government investment in the Arab and ultra-Orthodox Jewish communities.